TCR2 Therapeutics (NASDAQ:TCRR – Get Rating) and Fate Therapeutics (NASDAQ:FATE – Get Rating) are both small-cap medical companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, earnings, profitability, analyst recommendations, risk, institutional ownership and valuation.
Insider & Institutional Ownership
64.8% of TCR2 Therapeutics shares are owned by institutional investors. 25.0% of TCR2 Therapeutics shares are owned by insiders. Comparatively, 17.3% of Fate Therapeutics shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.
Get TCR2 Therapeutics alerts:Profitability
This table compares TCR2 Therapeutics and Fate Therapeutics' net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| TCR2 Therapeutics | N/A | -73.97% | -54.59% |
| Fate Therapeutics | -292.55% | -50.86% | -36.11% |
Analyst Recommendations
This is a breakdown of recent recommendations and price targets for TCR2 Therapeutics and Fate Therapeutics, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| TCR2 Therapeutics | 0 | 6 | 2 | 0 | 2.25 |
| Fate Therapeutics | 2 | 15 | 5 | 0 | 2.14 |
TCR2 Therapeutics currently has a consensus target price of $4.91, suggesting a potential upside of 182.43%. Fate Therapeutics has a consensus target price of $19.44, suggesting a potential upside of 205.62%. Given Fate Therapeutics' higher possible upside, analysts clearly believe Fate Therapeutics is more favorable than TCR2 Therapeutics.
Valuation and Earnings
This table compares TCR2 Therapeutics and Fate Therapeutics' revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| TCR2 Therapeutics | N/A | N/A | -$151.82 million | ($3.93) | -0.44 |
| Fate Therapeutics | $96.30 million | 6.48 | -$281.72 million | ($2.91) | -2.19 |
TCR2 Therapeutics has higher earnings, but lower revenue than Fate Therapeutics. Fate Therapeutics is trading at a lower price-to-earnings ratio than TCR2 Therapeutics, indicating that it is currently the more affordable of the two stocks.
Risk and Volatility
TCR2 Therapeutics has a beta of 1.93, meaning that its share price is 93% more volatile than the S&P 500. Comparatively, Fate Therapeutics has a beta of 1.49, meaning that its share price is 49% more volatile than the S&P 500.
Summary
TCR2 Therapeutics beats Fate Therapeutics on 7 of the 13 factors compared between the two stocks.
About TCR2 Therapeutics
(Get Rating)
TCR2 Therapeutics, Inc. is a clinical-stage cell therapy company, which engages in the development of biological drugs and engineering T-cells for cancer therapy. It is also involved in the research and collaboration with academic laboratories and industry partners in the field of T-cell immunology, cell therapy, gene editing, and process development. The company was founded by Patrick A. Baeuerle on May 29, 2015 and is headquartered in Cambridge, MA.
About Fate Therapeutics
(Get Rating)
Fate Therapeutics, Inc. engages in the development of programmed cellular immunotherapies for cancer and immune disorder. Its pipeline of products includes immuno-ocology candidates and immuno-regulation candidates. The company was founded by Philip Beachy, Sheng Ding, Rudolf Jaenisch, Randall T. Moon, Michael Rudnicki, David Scadden, Leonard Zon, Alexander Rives, Scott Wolchko, and John D. Mendlein on April 27, 2007 and is headquartered in San Diego, CA.
Receive News & Ratings for TCR2 Therapeutics Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for TCR2 Therapeutics and related companies with MarketBeat.com's FREE daily email newsletter.